Ethereum transactions hit new record with fees falling to their lowest levels in many years

The Ethereum network is handling more transactions than ever before in its history, while charging users some of the lowest fees seen in years.

Most important key points:

• The Ethereum network is processing record transaction volumes while gas fees have fallen to record lows.
• Recent protocol updates and increased use of Layer 2 have increased capacity and eased pressure on mainnet fees.
• Stablecoin activity and growing staking participation indicate renewed confidence in Ethereum.

Data shows that the seven-day moving average of transactions on the Ethereum network is close to 2.5 million, almost double the level from a year ago.

Activity has been rising steadily since mid-December, reversing a gradual slowdown that continued through most of the second half of 2025.

Gas fees on the Ethereum network have fallen to their lowest levels in the network’s recent history.

At the same time, transaction costs have fallen sharply. The average gas fee is around $0.15, the lowest in recent Ethereum history.

Etherscan estimates suggest that some popular stocks, such as token swaps, have recently gone as low as $0.04.

The combination of standard processing rates and minimal fees contrasts with previous cycles, when congestion regularly pushed costs beyond the reach of small users.

This change follows a series of technical updates. The Fusaka hard fork of the Ethereum network, which was activated seven weeks ago, introduced data availability sampling and scheduled semi-annual updates.

A subsequent update in January changed the Blob’s settings, increasing its capacity and reducing data costs for Layer 2 rollups. Together, these changes helped improve efficiency across the ecosystem.

Fee pressure has also eased due to changes in how Ethereum is used. The gas limit needed to create a block was raised from 45 million to 60 million at the end of November, expanding the scope of trade execution.

At the same time, an increasing proportion of activity moved to Layer 2 networks, reducing demand for core block space even as the total number of transactions increased.

Stablecoins are one of the main drivers of this rise. Analysts at Standard Chartered Bank recently estimated that stablecoin transfers now account for around 35-40% of all Ethereum transactions.

Jeffrey Kendrick, the bank’s global head of digital assets research, described 2026 as a pivotal year for Ethereum, highlighting its role as the primary settlement layer for on-chain dollars.

The evolution of quotas confirms a renewed confidence. More than 36 million Ethereum is currently frozen in staking contracts, representing approximately 30% of the circulating supply, according to data from ValidatorQueue.

Queues to get in have reached levels not seen since mid-2023, while demand to get out has almost disappeared.

Buterin says Ethereum is entering a new phase focused on user autonomy

Vitalik Buterin, co-founder of Ethereum, described this moment as more than just a technical breakthrough.

He said in a recent article that the community is entering a phase focused on reclaiming personal autonomy and improving user experience, arguing that previous compromises made in pursuit of adoption no longer need to determine the future of the network.

“2026 is the year we regain lost ground in terms of autonomy and lack of trust,” Buterin said in an article on X.

Record activity, falling fees, and growing participation indicate that Ethereum is entering a new phase, in which volume no longer comes at the expense of access.

Post-Ethereum transactions hit new record as fees fall to lowest levels in many years appeared first on Cryptonews Arabic.